Veterans' grit gives startups muscle
Veterans' grit gives startups muscle
Diane Hess, March 13, 2011
Sang Cho didn't initially plan on leaving the military in 2005 after his deployment in Iraq. Indeed, he had dreamed of becoming the first Korean-American general in the U.S. Marine Corps.
But when his parents convinced him that it was time to come home, Mr. Cho seized the chance to grow their dry-cleaning business into a commercial laundry company, Prestige Hospitality Services, which he expects to post $30 million in sales this year. It has four facilities—in Manhattan, the Bronx and New Jersey and on Long Island—and one is on the way in the Philadelphia area.
Entrepreneurship came easily for Mr. Cho, 29. Relying on the discipline and attention to detail he cultivated as a sergeant, he quickly grasped how to serve customers, prepare invoices and manage his 350-plus employees as they process 250,000 pounds of laundry daily.
“I don't walk around our plants with an M16,” Mr. Cho said. “But the basic qualities of determination and refusal to give up on problems, which the Marine Corps teaches you, are part of my job every day.”
Gravitating to opportunities
Entreprenuerial careers are attracting many veterans, locally and across the country. The U.S. Small Business Administration estimates that one in seven veterans is self-employed or owns a small business, and that vets are 50% more likely than the rest of the work force to become entrepreneurs.
The trend is attributable partly to a weak job market, but also owes to veterans' disposition and skills, which a stint in the military hones.
“A lot of people have good ideas, but they don't have the stomach for risk-taking,” said Ari Ginsberg, a professor of entrepreneurship at New York University's Stern School of Business. “Soldiers are steeled for this kind of experience.”
They also have the discipline to tough it out in New York City's competitive market. Consider Chris Cancialosi, who spent two years as an Army battalion operations officer in Iraq and as a Black Hawk helicopter pilot. He launched organizational consulting firm GothamCulture five years ago; it's on track to record over $1 million in sales this year.
“My experience in the Army gave me the confidence to make the leap into the unknown and the perseverance to be successful,” said Mr. Cancialosi, 36, whose 21 corporate clients include Footlocker, Google and JetBlue Airways.
Some servicemen and women learn that they prefer to accomplish their goals outside of the armed forces' “Yes, sir” culture. But it's not easy for every vet recovering from war to leap into business ownership.
In recent years, the government, nonprofits and private-sector enterprises have taken steps to support entrepreneurial veterans. The Entrepreneurship Bootcamp for Veterans with Disabilities offers training at seven universities nationwide, in partnership with the SBA. The “Buy Veteran” campaign, launched by the National Veteran-Owned Business Association last Veterans Day, connects Americans with the country's 3 million veteran-run businesses.
Program provides a boost
Jorege Quintana, 32, just took advantage of a 25% discount from VetFran—an International Franchise Association initiative that introduces vets to franchise opportunities—to buy a Smart Tax store in Queensbridge, Queens, for $40,000. Mr. Quintana expects $80,000 in sales this year.
After he got the keys to his shop in December, Mr. Quintana turned to a handful of buddies to help him gut the store and complete a renovation in two weeks. He credits his can-do attitude to his four years as a diesel-engine mechanic in the Marine Corps. His team once had to fix 379 vehicles and 129 trailers in two months to meet inspection standards.
“We worked 16-hour days and ate in the shop,” he recalled.